Fair Exchange

Currencies and card fees are not the only things to consider when you’re heading overseas

- Bessie Hassan, Kirsty Lamont, Josh Sale, & Sally Tindall

Q What are the main things I need to look for when comparing travel cards?

Make sure you take a close look at fees. Travel credit cards involve purchasing fees, loading fees, reloading fees, inactivity fees and even an account closure fee.

Pay attention to ATM withdrawal limits as some cards restrict how much money you can take out each day. If you need a lot of cash or your prepaid travel card charges a fee per transaction, it could quickly get very expensive.

Consider your itinerary and the card’s supported currencies. Prepaid travel cards usually support a number of foreign currencies, though the exact ones will depend on the individual card. Check the card’s currencies, and make sure they match your destination, otherwise you’ll have to shell out currency conversion fees each time you spend. BESSIE HASSAN

Q What fees do I need to be aware of?

Travel money cards come with a range of fees, from loading and reloading to ATM withdrawal and currency conversion fees.

Depending on the card you choose, there can also be initial purchase fees and an account closure fee. When choosing a card, consider the main ways you’ll be using it and avoid fees that’ll mostly impact you.

For example, if you’re travelling to Japan and know you’ll mainly use it like a credit card, you won’t need to worry about withdrawal fees. But if you’re visiting a country where you’ll need cash for food carts and night markets, look for one with lower ATM fees. BESSIE HASSAN

Q What is an exchange rate margin?